Article Archive For
Thomas Aspray

Demand Oscillator momentum by Thomas Aspray

ARTICLE SYNOPSIS ...Demand Oscillator momentum
by Thomas Aspray
The Demand Index developed by James Sibbett and its counterpart, the Demand Oscillator, are quite
useful in identifying accumulation or distribution in both stocks and commodities. (See ""Fine-tuning the
Demand Index,"" Stocks & Commodities, June 1986.)
The Demand Index is a combination of price and volume, calculated as buying pressure (BP) and selling
pressure (SP). I feel the Demand Oscillator makes signals from the Demand Index easier to interpret and
identifies false index signals. To plot the Demand Oscillator, first calculate Buying Pressure...

Traditional chart analysis: A neglected tool? by Thomas Aspray

ARTICLE SYNOPSIS ...Traditional chart analysis: A neglected tool?
by Thomas Aspray
With the virtual explosion of computerized technical analysis over the past few years, some basic
methods of analysis are often forgotten or at least neglected. I confess that I have even contributed to the
outbreak of ""oscillatoritis"" by focusing my research and writing on developing new, computerized
technical indicators. Despite this, traditional chart analysis does play an important role in my own
analysis.
Traditional chart analysis is a proven method of analysis and I feel it can be very useful, even for the
sophisticated...

Individual stocks and MACD by Thomas Aspray

ARTICLE SYNOPSIS ...Individual stocks and MACD
by Thomas Aspray
The Moving Average Convergence-Divergence method ? specifically MACD-Histogram (MACD-H)
and MACD-Momentum (MACD-Mo) ? can be used to identify turning points in the commodity
markets (See Stocks & Commodities, August and September 1988). MACD also is useful and valid for
the cash indices as well as individual stocks. In this article, I will show you how these indicators work on
individual stocks.
Calculating MACD is a straightforward matter (Figure 1). The real work is in choosing the moving
average period length. I calculate MACD-H using 10-, 20- a...

MACD momentum Part 2 by Thomas Aspray

ARTICLE SYNOPSIS ...MACD momentum
Part 2
by Thomas Aspray
Last month I looked at how the MACD Momentum (MACD-Mo) and MACD Histogram (MACD-H)
were excellent intermediate indicators for stocks as well as commodities. I also use the MACD-Mo and
MACD-H on daily data, but the rules of interpretation and timing with the daily studies are somewhat
different. In this article I will concentrate on daily activity in many of the major markets to help you
utilize MACD studies in your own analysis.
To utilize the MACD studies on daily data, it is imperative that you study the intermediate trend as
determined by weekly indic...

Diagnosing market tops by Thomas Aspray

ARTICLE SYNOPSIS ...Diagnosing market tops
by Thomas Aspray
In the June 1988 issue of Stocks & Commodities, I discussed a few of the more than 250 indicators that I
use for stock market timing. I applied these indicators to some of the recent stock market bottoms. In this
article, I would like to show you how these indicators reacted at several market tops, including charts of
the current market. The formulas for these indicators were given in the previous article. Unfortunately,
the formula for the McClellan Oscillator was incorrect. The correct formula for the McClellan Oscillator
is the difference between a 1...

NYSE technical indicators: diagnosing market bottoms by Thomas Aspray

ARTICLE SYNOPSIS ...NYSE technical indicators: diagnosing market
bottoms
by Thomas Aspray
By definition, significant market bottoms or tops seem to catch the majority by surprise, especially the
fundamentalists. When an important low is formed, I try to review the many technical studies that I use to
determine which ones worked well and which ones didn't.
On a daily basis, I run more than 250 studies on the stock market, including cash indices,
advance/decline, high/lows and futures. I weight my indicators using past experience, pattern recognition,
etc. In this article, we'll take a close look at how some of t...

MACD momentum Part 1 by Thomas Aspray

ARTICLE SYNOPSIS ...MACD momentum
Part 1
by Thomas Aspray
In the fall of 1986, I completed work on a new indicator: the MACD Histogram/Momentum. As many
of you are already aware, the MACD, or Convergence/Divergence, is an excellent indicator, but its
signals often lag when run on weekly data. Convergence/Divergence was developed by Gerald Appel,
who has created many excellent technical tools. I first presented my work on the MACD at a CompuTrac
conference in 1984. At that time, very few analysts were aware of it, much less using it on the commodity
markets. Now it is a widely used technical tool.
I have done so...